In a move that underscores the accelerating pace of India’s renewable energy evolution, ReNew Energy Global (ReNew Power) has announced the sale of one of its flagship solar projects to Sembcorp Green Infra. The transaction, valued at approximately $191 million, is more than just a corporate deal—it’s a strategic reshaping of India’s clean energy landscape. This blog explores how this agreement reflects the shifting dynamics of the renewable energy sector, ReNew’s evolving investment strategy, and Sembcorp’s strengthening foothold in the Indian green energy market.

ReNew Power’s decision to sell its 420 MWdc (300 MWac) solar project in Jaisalmer, Rajasthan, to Sembcorp Green Infra is a strategic move rooted in its ongoing capital recycling plan. The deal, which will generate an estimated cash inflow of $98 million for ReNew, allows the company to unlock value from operational assets and reinvest in newer growth areas within the renewable domain. By doing so, ReNew strengthens its balance sheet while maintaining focus on scaling up innovative technologies such as energy storage, green hydrogen, and hybrid clean energy systems.

The project—commissioned in November 2021—has performed consistently, recording a robust plant load factor (PLF) of 27.6% in FY24, aligning with its P-90 projections. Such efficiency not only validates ReNew’s engineering and operational excellence but also demonstrates the long-term viability of solar assets in India’s evolving power ecosystem.

For Sembcorp Green Infra, a wholly owned subsidiary of Sembcorp Industries, this acquisition reinforces its commitment to expanding its renewable portfolio across India. The company has been on an aggressive trajectory to deepen its clean energy investments, aligning with its broader mission of achieving sustainable energy leadership in Asia.

This solar plant in Jaisalmer, capable of offsetting approximately 450,000 tons of CO₂ emissions annually, adds substantial value to Sembcorp’s operational capacity. It also complements India’s ambitious renewable energy targets—500 GW of non-fossil fuel capacity by 2030. The long-term 25-year Power Purchase Agreement (PPA) with Maharashtra State Electricity Distribution Co. Ltd. (MSEDCL) at Rs. 2750/MWh ($39.59/MWh) ensures predictable revenue streams and financial stability, making it a win-win for both entities.

This transaction not only represents a key milestone for both companies but also highlights the growing collaboration between global and Indian players in the renewable space. As India pushes toward a net-zero future, such deals become instrumental in transferring capital, expertise, and technology—fueling faster growth of clean energy infrastructure.

ReNew’s disciplined capital rotation model exemplifies how smart asset management can accelerate sustainable expansion. Meanwhile, Sembcorp’s acquisition demonstrates the increasing confidence of international investors in India’s renewable energy market. The transaction, once completed following customary conditions, is poised to set a precedent for future deals in the green energy domain.

ReNew’s $191 million sale to Sembcorp isn’t just a business transaction—it’s a testament to India’s thriving renewable energy economy and the global collaboration driving it forward. As both companies continue to push boundaries in sustainable power generation, this deal paves the way for more impactful investments in clean energy.

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